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Touchstone Exploration Inc T.TXP

Alternate Symbol(s):  PBEGF

Touchstone Exploration Inc. is a Canada-based company, which is engaged in the business of petroleum and natural gas exploration, development, acquisition and production. The Company is active in onshore properties located in the Republic of Trinidad and Tobago. It operates Trinidad-based upstream petroleum and natural gas activities under state exploration and production licenses with the Trinidad and Tobago Ministry of Energy and Energy Industries (MEEI), Lease Operatorship Agreements (LOAs) with Heritage Petroleum Company Limited and private subsurface and surface leases with individual landowners. It is focused on onshore oil and natural gas properties located in southern Trinidad. With interests in approximately 145,000 net working interest acres of core exploration and development rights. Its core focus is on exploration and development on the Ortoire block and development production on its five onshore lease operatorship properties (CO-1, WD-4, WD-8, Fyzabad, and Balata East).


TSX:TXP - Post by User

Comment by Margin321on Jun 24, 2021 3:20pm
207 Views
Post# 33445252

RE:Closing in

RE:Closing in
Good info but a couple of cautionary comments just triggered by the brutal downward slide.

1. At Chinookk they are preparing to test 20 feet of shallow Cruse formation. But is has taken longer to just prepare to test this little interval than in would take in the Montney (or the Permian basin) to drill a deep well with a mile long horizontal and hook it up to a pipeline extension.  And they are clearly not going to  produce from this interval anytime soon  - it would take years to hook it up and it can't have much volume.

2. Spudding Royston is exciting but they have missed every timeline and who knows if they have the technical expertise to drill a deep overpressurized gas formation. They almost lost both Cascadura wells  (and stopped both early to rescue them) and they injured the Chinook well bore in part because they encountered gas during  drilling and were trying to control it.  They also injured the Casca Deep well bore.  The fact that it has taken months to get ready to go and now will take more time (though likely weeks) to actually get ready to go is not that uplifting.

3. Reports of seismic wil be interesting, but those are just potential. We have plenty of potential already. What we need is production and some revenue growth. 

3. Coho is a year late and relatively low volume.  It will take 60 days from the time they start laying pipe to a main pipeline 1.3 km a way. They won't get extra credit for that. It could have happened late spring of 2020.  I would be more excited if they announced they would dril a second Coho wlell to maximize production and would accomplisgh that second well while the pipe is being laid.  That would not be a big challenge in most places.  Trinidad has had oil and gas as majot part of their economy for more tahn 100 years.
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